What Is FIRPTA?
FIRPTA, the Foreign Investment in Real Property Tax Act, makes a foreign person's gains from selling US real estate subject to US tax. It also imposes withholding on the buyer and reporting to the IRS.
FIRPTA is the Foreign Investment in Real Property Tax Act, a set of regulations governing the sale of real estate by foreign investors in the United States and was enacted in 1980 to protect the US tax base from potential loss due to the sale of real estate by foreign investors.
FIRPTA requires that any gains from the sale of real estate by a foreign person be subject to US taxation, imposes withholding requirements on the purchaser of the real estate, and requires the reporting of certain information about the transaction to the IRS.
For more information, read FIRPTA: What Foreign Investors of US Real Estate Need to Know.
News
- Florida’s HB 7031: A Game-Changer for Commercial Leases Starting October 2025
- What Is the Current Sales Tax on Commercial Rentals in Florida?
- FTC Issues Ruling to Ban Noncompete Agreements Nationwide
- Risks Without Pet Trusts: Xyla's Near-Fatal Experience Post-Owner's Death
- Don’t Say a Little Prayer: Estate Planning Lessons from Aretha Franklin's Probate Trial
- Senate Bill 264: Impact on Florida Real Estate Transactions
- Brevard County Real Estate Market Analysis for April 2023
- Brevard County Zoning Meeting: Key Decisions & Public Input, Mar 2, 2023
- Brevard County Real Estate Market Shows Mixed Performance in Q1 2023